Use VAR model separately to estimate causality
Posted: Tue May 19, 2020 6:56 pm
Dear,
I am using VAR model to estimate the causality of two parts of variables: price and net import volume. Supposing there be a commodity that can only be imported to our country K, and there are three exporters a, b, c. Can I use VAR model between PK&a, PK&b, PK&c separately to analyze the causality between the price of commodity in country K and the export volume of each exporter?
Thanks.
I am using VAR model to estimate the causality of two parts of variables: price and net import volume. Supposing there be a commodity that can only be imported to our country K, and there are three exporters a, b, c. Can I use VAR model between PK&a, PK&b, PK&c separately to analyze the causality between the price of commodity in country K and the export volume of each exporter?
Thanks.